Bathgate construction firm Dunne collapses

Bathgate-based construction firm Dunne Group — which has been involved in some of the UK’s highest profile civil engineering projects — has gone into administration with the loss of more than 500 jobs throughout the UK and Ireland.

Dunne has been involved in projects in London including One Blackfriars and 100 Bishopsgate and also the new South Glasgow Hospital and Glasgow’s Riverside Museum, according the firm’s website.

“This is a sad loss for the construction and building industry,” said joint administrator Tom MacLennan.

“The business faced substantial trading losses on some contracts, leading to severe cashflow pressures.

“Additionally, rapid expansion led to pressure on working capital and a requirement for significant additional funding that was not available …

“Given these issues, the joint administrators have had to cease trading, resulting in 524 employees being made redundant.

“A team of 16 staff will be retained to assist with the closure process and realisation of the business’ assets.

“Our priority is to work closely with all agencies and services to ensure employees receive every support and assistance at this very difficult time.”

Construction union UCATT has offered advice to members and workers who are affected.

“Wherever possible UCATT members should remain on site and contact their local regional office and arrangements will be made for a regional official to visit them at the earliest opportunity,” said the union.

“In cases where members could be out of pocket for work already undertaken UCATT will put pressure on the main contractor/client to ensure that any financial shortfall is covered.”

Steve Dillon, regional secretary of UCATT Scotland, said: “Contractors and clients approved and appointed Dunne Group to undertake work on their projects.

“They should have made financial checks to ensure the company was stable.

“It should not be the workers who have to pick up the bill for the companies collapse.”